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Tech Giants Step Back: Microsoft and Apple’s Changing Roles at OpenAI

Microsoft withdraws from OpenAI’s board, signaling changing relationships between big tech and AI startups.

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Big tech and AI startup relationships

TL;DR:

  • Microsoft withdraws observer seat on OpenAI board amid regulatory scrutiny
  • Apple will no longer be able to appoint an executive to a similar role
  • Regulators are examining big tech’s relationships with AI startups

The Changing Landscape of AI and Big Tech

Artificial intelligence (AI) and artificial general intelligence (AGI) are transforming industries across the globe, with Asia at the forefront of many innovations. As AI technologies continue to evolve, the relationships between big tech companies and AI startups are facing increased scrutiny from regulators. In a recent development, Microsoft has withdrawn its observer seat on the board of OpenAI, the developer of ChatGPT, and Apple will no longer be able to appoint an executive to a similar role.

Microsoft’s Decision to Withdraw from OpenAI’s Board

Microsoft, the largest financial backer of OpenAI, announced its decision to withdraw its observer seat on the board in a letter to the startup. The move, effective immediately, comes amid growing regulatory scrutiny of big tech’s relationships with AI startups. Although the observer role does not carry a vote in board decisions, Microsoft believed that the role was causing concern among competition regulators.

Regulatory Scrutiny and the Impact on Big Tech

In the UK, the Competition and Markets Authority (CMA) is reviewing whether Microsoft’s partnership with OpenAI has resulted in an “acquisition of control.” In the US, the Federal Trade Commission (FTC) is also looking at the partnership between the two companies. The European Commission has decided not to conduct a formal merger review into Microsoft’s investment in OpenAI but is scrutinising exclusivity clauses in the agreement between the companies.

OpenAI’s New Approach to Engaging Strategic Partners

An OpenAI spokesperson stated that the San Francisco-based startup is establishing a new approach to “informing and engaging key strategic partners” such as Microsoft and Apple, as well as other financial investors. The new approach will involve hosting regular stakeholder meetings to share progress on their mission and ensure stronger collaboration across safety and security. OpenAI will no longer have board observers under the new approach, which rules out Apple taking up such a role.

Regulators Examine Other AI Startup Investments

Investments in AI startups are coming under scrutiny from regulators. The FTC is examining tie-ups between Anthropic, the company behind the Claude chatbot, and two tech powerhouses: Google and Amazon. In the UK, the CMA is also looking at Amazon and Anthropic as well as Microsoft’s partnerships with Mistral and Inflection AI.

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Expert Opinion on the Changing Relationships

it is “hard not to conclude” that Microsoft’s decision had been influenced by the regulatory environment. He added, “It is clear that regulators are very much focused on the complex web of inter-relationships that big tech has created with AI providers, hence the need for Microsoft and others to carefully consider how they structure these arrangements going forward.” Alex Haffner, a partner at the UK law firm Fladgate

The Impact of Regulatory Scrutiny on AI Innovation

As regulatory scrutiny of big tech’s relationships with AI startups intensifies, how will this affect the pace of innovation in the AI and AGI industries? Will increased regulation stifle innovation, or will it create a more level playing field for startups and established tech companies alike?

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What are your thoughts on the changing relationships between big tech companies and AI startups? Do you think increased regulatory scrutiny will have a positive or negative impact on AI innovation? Share your thoughts in the comments below and don’t forget to subscribe for updates on AI and AGI developments.

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The AI Revolution: Asia’s Role in a Transforming World

Explore the AI revolution in Asia, its challenges, and future prospects with insights from Eric Schmidt, highlighting the power of large language models and the importance of speed and risk-taking.

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AI Revolution Asia

TL;DR:

  • Eric Schmidt predicts AI’s impact over the next two years will be profound, surpassing social media’s influence.
  • Frontier models like OpenAI and Anthropic are leading the AI race, but funding and power are significant challenges.
  • Schmidt suggests a shift from arbitrary language to digital commands will revolutionise programming.

The AI Revolution is Here

Artificial Intelligence (AI) is set to transform the world in ways we can barely imagine. Eric Schmidt, former CEO and Chairman of Google, believes the changes brought by large language models (LLMs) like ChatGPT will be more profound than the impact of social media. This transformation will happen rapidly, within the next two years, and will affect every aspect of our lives.

The Power of Large Language Models

Large language models have reached a stage where they can interpret complex prompts and perform tasks that were once thought impossible. Schmidt highlights three key areas where AI will have a significant impact:

  • Context Windows as Short-Term Memory: Developers can use context windows to give LLMs short-term memory, allowing them to process vast amounts of information quickly.
  • AI Agents: These agents can read, understand, and apply complex concepts, such as chemistry, and use this knowledge to perform tasks.
  • Text to Action: The ability to convert text into actions will revolutionise programming, making it accessible to everyone.

The TikTok Example

To illustrate the power of text to action, Schmidt uses the example of TikTok. If TikTok were banned, he proposes using an LLM to create a copy of the app, complete with users, music, and preferences, all within 30 seconds. This demonstrates the potential of AI to disrupt traditional programming and business models.

Money and Power: The Challenges Ahead

While the potential of AI is immense, there are significant challenges to overcome. Schmidt highlights two main obstacles:

  • Funding: The leading AI companies, such as OpenAI, require vast amounts of money to continue their work. Sam Altman, CEO of OpenAI, estimates the company needs $300 billion.
  • Power: The energy required to power these AI models is beyond the current capabilities of the US power grid. Schmidt suggests partnering with Canada, which has abundant hydropower, to meet these energy needs.

The Race for AI Supremacy

Schmidt notes that the gap between the leading AI models and newcomers is widening. Six months ago, he believed the gap was closing, but now it appears to be growing. This highlights the importance of speed and risk-taking in the AI race. Companies that can move quickly and take calculated risks will have a significant advantage.

The Importance of Speed and Risk-Taking

Schmidt emphasises the need for speed in decision-making during this period of rapid change. He attributes Google’s underwhelming performance in AI to its culture, specifically its work-from-home culture, which he believes slows down decision-making. He also highlights the importance of risk-taking, citing Microsoft’s deal with OpenAI as an example of a risk that paid off.

Asia’s Role in the AI Revolution

Asia is poised to play a significant role in the AI revolution. With its vast population, technological prowess, and innovative spirit, Asia has the potential to lead the way in AI development and implementation. Countries like China, Japan, and South Korea are already investing heavily in AI, and their contributions will shape the future of this transformative technology.

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The Future of AI in Asia

The future of AI in Asia is bright. As AI continues to evolve, it will create new opportunities and challenges. Asia’s tech-savvy youth are well-positioned to take advantage of these opportunities and drive innovation in the AI space.

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AI Showdown: ChatGPT Doubles Users, Meta Hits 400 Million, and Google Reboots Strategy

Explore the rapid growth of AI adoption in Asia, with insights from OpenAI, Meta, and Google. Discover how AI is shaping the future.

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AI adoption in Asia

TL;DR:

  • ChatGPT usage doubled to 200 million active monthly users.
  • Meta’s AI features reach 400 million monthly users.
  • Google reintroduces AI image generator after addressing controversies.

In the rapidly evolving world of artificial intelligence (AI), the competition among tech giants is heating up. Recent data reveals significant growth in the adoption of AI chatbots and tools, highlighting the increasing importance of this technology in our daily lives. Let’s dive into the latest developments from OpenAI, Meta, and Google.

ChatGPT’s Meteoric Rise

OpenAI, the creator of ChatGPT, has announced that the usage of its iconic chatbot has more than doubled since November, reaching an impressive 200 million active monthly users. This surge in popularity is a testament to the growing interest and acceptance of AI-powered tools among the general public.

  • ChatGPT usage doubled to 200 million active monthly users.
  • 92% of Fortune 500 companies are using OpenAI’s services.

“The numbers could help quiet the small but growing group of naysayers that are asking to see bigger and quicker revenue from AI chatbots and other tools.”

Meta’s AI Expansion

Facebook-owner Meta has also reported a significant increase in the usage of its AI features. With 400 million monthly users and 185 million weekly users, Meta’s AI tools are gaining traction among its vast user base. The company’s Llama model, available for free, has seen a doubling in usage between May and July, highlighting its competitive edge against paid models like ChatGPT and Google’s Gemini.

  • Meta’s AI features reach 400 million monthly users.
  • Llama model usage doubled between May and July.

“The use of AI by Meta’s more than three billion users was ‘growing quickly, and we haven’t even rolled out in UK, Brazil, or EU yet,’ CEO and founder Mark Zuckerberg said in post on Threads.”

Google’s AI Comeback

Google, despite its early lead in developing generative AI, has faced criticism for lagging behind its rivals. However, the search engine giant is making a comeback with its Gemini chatbot, now integrated across all its products. Google has also reintroduced its AI image generator to premium and business customers after addressing previous controversies.

  • Google’s Gemini chatbot is now included across all its products.
  • AI image generator reintroduced after addressing controversies.

“Google earlier this year suspended generating images of people after Gemini was discovered to be creating diverse but historically inaccurate images, such as Asian Nazis during World War II or a George Washington who was Black.”

The Future of AI in Asia

The rapid growth of AI adoption in Asia is a testament to the region’s tech-savvy population and its eagerness to embrace emerging technologies. As AI continues to evolve, it is crucial for companies to stay ahead of the curve and address the ethical and practical challenges that come with this powerful technology. As AI continues to evolve, it is clear that its impact on our lives will only grow stronger. Stay informed, stay curious, and embrace the future of technology.

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We’d love to hear your thoughts on the future of AI and AGI in Asia. What excites you the most about this technology? Have you had any personal experiences with AI tools like ChatGPT or Meta’s AI features? Share your stories and insights in the comments below. Don’t forget to subscribe for updates on AI and AGI developments.

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The Future of AI: A Landmark Treaty Signed by US, Britain, and EU

The AI Convention, the first international AI treaty, addresses AI’s human rights aspects but faces criticisms for lacking enforceability.

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AI Convention

TL;DR:

  • The first legally binding international AI treaty will be signed by the US, Britain, EU, and other countries.
  • The AI Convention focuses on protecting human rights from potential AI risks.
  • Critics argue the treaty has been watered down and lacks enforceability.

A New Era in AI Governance

Artificial Intelligence (AI) is changing the world rapidly. From self-driving cars to predictive analytics, AI is everywhere. However, with great power comes great responsibility. That’s why the first legally binding international AI treaty is a big deal. This treaty, known as the AI Convention, will be signed by the US, Britain, EU, and other countries. Let’s dive into what this means for the future of AI.

What is the AI Convention?

The AI Convention is a treaty that focuses on the human rights aspects of AI. It was negotiated by 57 countries and adopted in May. The Council of Europe, an international organisation safeguarding human rights, led this initiative. The treaty aims to address the risks AI may pose while promoting responsible innovation.

“This Convention is a major step to ensuring that these new technologies can be harnessed without eroding our oldest values, like human rights and the rule of law,” said Britain’s justice minister, Shabana Mahmood.

How Does the AI Convention Work?

The AI Convention allows signatories to adopt or maintain measures to give effect to its provisions. This means countries can create their own laws based on the treaty’s principles. However, the treaty has been criticised for being too broad and lacking enforceability.

Francesca Fanucci, a legal expert at ECNL who contributed to the treaty’s drafting, highlighted some flaws:

“The formulation of principles and obligations in this convention is so overbroad and fraught with caveats that it raises serious questions about their legal certainty and effective enforceability,” she said.

Criticisms of the AI Convention

Critics argue that the treaty has been watered down. Fanucci pointed out exemptions for AI systems used for national security purposes. She also noted limited scrutiny of private companies compared to the public sector, calling it a “double standard”.

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Despite these criticisms, the AI Convention is a significant step forward in AI governance. It shows that countries are taking AI risks seriously and are willing to cooperate internationally.

The AI Convention vs. EU AI Act

It’s important to note that the AI Convention is separate from the EU AI Act. The EU AI Act is a comprehensive regulation on the development, deployment, and use of AI systems within the EU internal market. The AI Convention, on the other hand, is a broader treaty focusing on human rights.

What’s Next for AI Governance?

The AI Convention is just the beginning. As AI continues to evolve, so will the laws and treaties governing it. Countries will need to work together to ensure that AI is used responsibly and ethically.

AI in Asia: A Growing Landscape

While the AI Convention is a global initiative, Asia is also making strides in AI governance. Countries like China, Japan, and South Korea are investing heavily in AI. They are also developing their own AI regulations and ethical guidelines.

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What do you think about the AI Convention? Do you agree with the critics, or do you think it’s a step in the right direction? Share your thoughts in the comments below. And don’t forget to subscribe for updates on AI and AGI developments.

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